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Hi,
I have an account that is in collection, actually for a while. It's only a few hundred dollars. Would paying it, have a positive effect on my credit score? Or should I just leave it unpaid. If I pay off the dues, would it show as a zero balance on my credit report? And what about disputing the whole thing?
Thanks
Collection account
Hi Alvin,
Can you tell as to how old is this account? When was the last payment made? You need to check the Statute of Limitations (SOL) on this debt. If the SOL has expired, then the creditor will not be able to win a lawsuit against you for nonpayment of the dues.
However, that does not mean that the collection process may stop. Thus, if you have the ability to pay, you can try to pay off the debt. Another point is that, if this is an old delinquent account, then paying on this can lower your score.
Thanks,
Aaron
What state do you live in?
how old is this debt?
who is the original creditor?
Is the negative tradeline a Collection Agency or the Original Creditor?
zero balance is better than a court judgment but not much. you can settle for less or even negotiate a delete.
I think that you may be able to work on a settlement for less or even a deletion if you can answer some questions